Liechtenstein
Official Country Name
Liechtenstein
Liechtenstein Overview
The Principality of Liechtenstein was established within the Holy Roman Empire in 1719; it became a sovereign state in 1806. Until the end of World War I, it was closely tied to Austria, but the economic devastation caused by that conflict forced Liechtenstein to enter into a customs and monetary union with Switzerland. Since World War II (in which Liechtenstein remained neutral), the country's low taxes have spurred outstanding economic growth. Shortcomings in banking regulatory oversight resulted in concerns about the use of financial institutions for money laundering. However, Liechtenstein implemented anti-money-laundering legislation over the past several years and a Mutual Legal Assistance Treaty with the US went into effect in 2003.
Liechtenstein Economy
Despite its small size and limited natural resources, Liechtenstein has developed into a prosperous, highly industrialized, free-enterprise economy with a vital financial service sector and living standards on a par with its large European neighbors. The Liechtenstein economy is widely diversified with a large number of small businesses. Low business taxes - the maximum tax rate is 20% - and easy incorporation rules have induced many holding or so-called letter box companies to establish nominal offices in Liechtenstein, providing 30% of state revenues. The country participates in a customs union with Switzerland and uses the Swiss franc as its national currency. It imports more than 90% of its energy requirements. Liechtenstein has been a member of the European Economic Area (an organization serving as a bridge between the European Free Trade Association (EFTA) and the EU) since May 1995. The government is working to harmonize its economic policies with those of an integrated Europe.
Liechtenstein Location
Liechtenstein is located in Central Europe, between Austria and Switzerland
Region
Liechtenstein is located in Europe
Liechtenstein Population
Liechtenstein has population of 33,987 (July 2006 est.)
Liechtenstein Climate
Liechtenstein has continental; cold, cloudy winters with frequent snow or rain; cool to moderately warm, cloudy, humid summers
Liechtenstein Terrain
mostly mountainous (Alps) with Rhine Valley in western third
Liechtenstein Natural Resources
hydroelectric potential, arable land
Ethnic Groups in Liechtenstein
Liechtenstein has the following ethnic groups - Alemannic 86%, Italian, Turkish, and other 14%
Liechtenstein Religions
Roman Catholic 76.2%, Protestant 7%, unknown 10.6%, other 6.2% (June 2002)
Liechtenstein Languages
German (official), Alemannic dialect
Liechtenstein Capital
Liechtenstein capital is Vaduz
Liechtenstein Currency
Liechtenstein currency is Swiss franc
Map of Liechtenstein
